What Is Host Liquor Liability Insurance?

Most states hold party hosts who offer alcohol to their guests responsible for their guests' actions. Host liquor liability insurance may cover the legal fees, settlements, and medical costs that you may face due to your service of alcohol up to the limits of your policy. If you are held responsible for damages stemming from a lawsuit, your policy may even cover the costs of expenses.

Host liquor liability insurance does not cover you if you are in the business of selling, manufacturing, or furnishing of alcoholic beverages.

If you sell alcohol through an event, or as a caterer or bartender, you may qualify for liquor liability coverage from our recommended provider here. Hosts who hire caterers or bartenders to serve alcohol at their event should require them to carry a liquor liability policy and add them as an additional insured.

Do I Need Host Liquor Liability Insurance?

Yes. As a party or event host, you could be held responsible for your guest's actions if you serve alcohol.

This includes:

• BBQs
• Anniversary, birthday, baby showers, or any other milestone celebrations
• Company or corporate events
• Luncheons or dinners

Anyone who suffers bodily injury or property damage by an intoxicated person has the right to sue the person who provided the alcohol. Host liquor liability lawsuits and expenses are substantial and could include criminal charges. Costs sometimes reach into hundreds of thousands of dollars. Even if you are not found negligent, court costs to defend yourself can be expensive.

Your liability may depend upon your state's social host liability laws. In some states, social host liability laws are similar to the state's dram shop laws. In other states, there are no specific social host liability laws; however, those states don't stop you from being sued by the injured person. For this reason, carrying general liability insurance with host liquor coverage is a wise choice, even if it’s not explicitly required of you.

Eighteen states have social host liability laws and nine states have social host laws specific to minors.

How Much does Host Liquor Liability Insurance Cost?

The Event Helper offers policies starting at $66 for an event.